The index fund business is a commodity business: the only way to compete (e.g., S&P 500 index funds) is by lowering fees, which have fallen to a few basis points with some funds now charging zero fees; this commoditization makes it hard to scale governance resources.

causalpending

Speaker

Bill Ackman

Evidence Quote

the problem with the index fund business is it's really a commodity business you know if you run an SP 500 index fund the only way that you can compete with other SP 500 index funds is by lowering your pricing

Source

Bill Ackman: Dealing with Haters, My Largest Trade Ever, and Sounding the Alarm for the GovernmentThe Knowledge Project Podcast
Created: 8/10/2026, 11:24:39 PM

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